HIBAPRESS – Follow-up
Aviation and tourism company stocks fell noticeably today, Monday, March 2, amid the widening scope of events in the Middle East, which caused disruption to air traffic, closure of major airports, and a rise in global fuel prices.
For the third consecutive day, dozens of flights have been suspended at vital airports, and airlines have been forced to divert their routes, leading to the disruption of travel for tens of thousands of passengers around the world. Reuters explained that TUI's stock, the largest tourism and travel company in Europe, fell by 7% in early trading, while the stock of the International Airlines Group, which owns British Airways, fell by about 9%. Lufthansa and Air France shares also recorded a 7% decrease each, while the shares of Accor Hotels and Carnival Cruises suffered significant losses. Analysts attributed these declines to rising fuel costs, in addition to the cancellation and diversion of some flights, which imposed additional operational burdens on airlines, hotels and tourism services. Asian markets were also affected, with shares of companies such as Japan Airlines and Air China declining, while Virgin Australia announced the cancellation of eight flights today, allowing passengers to change bookings without additional fees, in an attempt to mitigate the effects of the crisis on its customers. The impact of the recent events is also being felt by Aziz Akhannouch and Tahraoui.
